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Deals and Financings
Shanghai’s Elpiscience Biopharma has formed a $1.7 billion collaboration with Japan’s Astellas Pharma (ALPMY) to develop a novel bispecific macrophage engager, ES019, along with an unspecified program (see story). Initially, Elpiscience will receive up to $37 million, including an upfront payment and license option fees. Astellas will also provide research funding to advance the programs.If Astellas exercises the option, Elpiscience is eligible to receive more than $1.7 billion in milestones plus additional royalties. Elpiscience’s Bispecific Macrophage Engager Platform combines an anti-tumor associated antigen and an anti-signal-regulatory protein α bispecific antibody to activate Tumor Associated Macrophage phagocytosis killing of specific TAA expressing tumor cells. Gracell Biotech (GRCL), a Suzhou-San Diego cell therapy company, will be acquired by AstraZeneca (AZN) in a deal worth up to $1.2 billion (see story). AstraZeneca will acquire at least one clinical stage CAR-T therapy plus Gracell’s FasTCAR next-day manufacturing technology.Gracell shareholders will receive $10.00 per ADS ($2.00 per ordinary share) in cash at closing, plus a non-tradable contingent value right for up to $1.50 per ADS ($0.30 per ordinary share) for a single regulatory milestone. The acquisition is priced at an 86% premium to Gracell’s previous closing market price. Jinan Qilu Pharma in-licensed greater China rights to PCSK9-targeting antisense oligonucleotide from Suzhou Ribo Life Science in a deal worth $100 million in upfront and milestone payments, plus royalties (see story). Qilu will have development, production, and commercialization rights to RED7022, a small interfering RNA drug aimed at treating hyperlipidemia.The candidate inhibits the expression of PCSK9 protein, reducing lysosomal degradation of low-density lipoprotein receptors. It is currently in a China Phase I trial. Qilu offers active pharmaceutical ingredients and finished drugs, but also develops innovative drugs. LianBio (LIAN), a Shanghai-Princeton in-licensing biotech, has sold greater China rights for a radioenhancer to Janssen Pharma in a $30 million agreement (see story). LianBio will receive $25 million upfront and up to another $5 million in sales milestones.NBTXR3 is a novel first-in-class oncology product composed of functionalized hafnium oxide nanoparticles that is administered via one-time intratumoral injection and activated by radiotherapy. In 2022, LianBio acquired the rights from Nanobiotix, a Paris oncology company. Janssen acquired global rights (ex-China) to the radioenhancer earlier this year, paying $30 million upfront, plus other contingent payments. 

Trials and Approvals
Suzhou Innovent (IVBXF) announced a clinical trial collaboration with Xuanzhu Biopharma that will pair Innovent’s sintilimab, an approved PD-1 inhibitor, with Xuanzhu’s novel HER-2 bispecific ADC for solid tumor cancers (see story). The Xuanzhu candidate, KM-501, is a dual-antibody ADC that targets two different domains of HER2.KM-501 is aimed at advanced/metastatic solid tumors with HER2 positive expression, amplification, or mutation, including advanced tumors with low HER2 expression. Xuanzhu will conduct a China Phase Ib clinical study to evaluate the anti-tumor activity and safety of the combination therapy. Innovent Biologics and Sanegene Bio, a Suzhou-Boston RNA company, will collaborate to co-develop SGB-3908, a siRNA drug candidate targeting angiotensinogen to treat hypertension (see story). SGB-3908 is an IND-enabling stage candidate developed on SanegeneBio’s proprietary LEAD (Ligand and Enhancer Assisted Delivery) platform.The two companies will be jointly responsible for developing SGB-3908 to a specific stage. At that point, Innovent can exercise its exclusive option to acquire development, manufacturing, and commercialization rights to SGB-3908. If Innovent exercises the option, SanegeneBio will be eligible to receive milestone payments and tiered royalties. Biocytogen Pharma (Beijing) and CtM Biotech (Shanghai), a division of Lepu Biopharma, reported that their tri-specific T cell engager for an intracellular target showed preclinical anti-tumor activity for both hematological malignancies and solid tumors (see story).In just one year of collaboration, the companies have identified a WT1/HLA-A02-specific T cell engager (WT1xCD3x4-1BB tri-specific antibody) that includes a T co-stimulatory signal for a WT1-targeting T cell engager, which the companies believe will prove to be best-in-class and first-in-class. WT1 (Wilms’ tumor gene 1) is an intracellular protein highly enriched in the cells of certain cancers.More By This Author:Week in Review: SystImmune Out-Licenses Global Rights for ADC to BMS in $8.4 Billion DealWeek In Review: Tang Capital Offers $465 Million For LianBio Plus 80% Of Any Licenses/DivestmentsWeek In Review: BeiGene Signs $1.3 Billion Deal For Preclinical CDK2 Inhibitor From Boston’s Ensem